The development and fluctuations of Nvidia’s stock after the release of quarterly results are of great importance to investors worldwide, as they can influence not only the mood in the technology sector but also the entire stock market situation – including the DAX.
Current Situation and Expectations
- After-hours Development: On May 28, 2025, Nvidia’s stock was trading after hours at about $131.17, which represents a decline of 1.25%. This suggests a degree of uncertainty or consolidation after recent price increases.
- Quarterly Results: The publication of the quarterly results for the second quarter of 2025 was eagerly anticipated. Analysts predicted a revenue growth of 66% compared to the same quarter last year (Q2/2024: $30 billion) and a profit growth of about 40%.
- Market Expectations: Despite a slightly weaker growth outlook, Nvidia continues to aim for massive gains. Revenues of around $43 billion were expected for the current quarter.
Importance for the Market
- Driving Force for the Overall Market: Nvidia’s results and forecasts are considered an important driver not only for tech stocks but also for broader indices such as the S&P 500 and Nasdaq. James Demmert from Main Street Research emphasizes that the business report is “crucial not only for Nvidia but for the entire stock market.”
- Consolidation Before Results Release: Prior to the announcement of the numbers, a consolidation phase was observed with slightly declining futures on the S&P 500 and Nasdaq, each down about -0.2%.
- Potential Price Movements: It is expected that the stock may fluctuate by up to ±7% after the announcement of the figures – a typical volatility for large tech companies following earnings releases.
Long-term Perspective
- Analysts’ Opinions: The majority of analysts continue to recommend a buy or maintain positive price targets. The average price target currently stands at around $164–$165 per share, which corresponds to further upside potential of about 20–25% compared to the current level.
- Growth Forecasts: Strong growth rates are still expected for the coming years:
- Revenue Forecast: For the year 2026, an average revenue of $205 billion is projected (+57% year-over-year), with a range between $177 billion and $246 billion.
- Long-term: By 2030, growth is expected to be more moderate (revenue: approximately $309 billion), but remains robust overall.
Impact on DAX & Global Markets
Nvidia’s performance directly impacts international tech indices as well as indirectly affects European markets like the DAX:
- Sentiment Barometer: Positive surprises can trigger optimism in other technology stocks; negative developments could lead to short-term corrections.
- AI Trend as a Driver: Since the start of the AI supercycle, Nvidia has remained a central market driver – disappointing outlooks are likely to have a short-term impact; in the long term, the perspective around AI remains strongly positive.
Summary
The news about Nvidia’s quarterly results is highly relevant: it significantly influences not only its own stock but also the overall market.